10 Best Places to Retire - Panama

Panama has been a popular place to retire for many years. There are still many inexpensive homes to purchase and you can live off of very little money every month. The country is located at the bottom of Central America and has two coastlines. One coastline is on Caribbean Sea and the other on the North Pacific Ocean. It is part of the isthmus that connects the North and South Americas. Discover what makes Panama one of the top 10 retirement areas.

Panama City is the most populated part of the country. It is often compared to Miami for its culture and lifestyle. There are many modern art programs, entertainment, facilities, and restaurants that make Panama a vibrant and exciting country. It sits in the middle of North and South Americas and therefore, is a gateway to both. There is a large ex-patriot population living in Panama. The coastal terrain is mostly made up of rolling hills and it is more mountainous inland. There are many historical sites, national parks, and outdoor activities to participate in Panama.

It is less than nine degree north of the equator, which means it is warm and consistently so. The weather is typically between 70 to 90 degrees all year. Closer to the coastline it is more tropical and wet. The rainy season runs from May to November. From December to March there is little to no rain and little to no humidity, which is the most popular time for tourist to visit.

Spanish is the main language, but most people in Panama speak more than one language. It is estimated that at least 14 percent of the population speak English. There are also many native languages that are spoken and often people will speak the Panamanian English and Spanish combination of languages.

In Panama they use both the U.S. dollar and the Panamanian Balboa as currency. The Balboa is worth the same as the United States dollar and is only found in coin form. Although you might here the dollar referred to as a Balboa United States currency has been the currency of Panama since the early 1900’s. Most businesses will not want to take larger bills. It is best to keep small bills available for spending.

Income taxes in Panama range on a sliding scale from 7 percent to a cap at 27 percent. No matter your residency you are only expected to pay income tax on money that was earn from Panamanian pursuits. This country is well known for their light tax burden. Residents as young as 18 can be considered retired, which is why many wealthy young people move to this country. If you buy a home you are not expected to pay taxes on that property for 20 years.

Panama is already proven to be a great place for people to retire. If you enjoy a fun and warm environment Panama is right for you. With simple and easy tax laws, affordable homes, and a large ex-pat population, Panama continues to be the place people seek out for retirement. You can easily see why retiring in Panama makes sense, read on to learn about more of the top 10 retirement areas in the world.